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Devki Steel broke ground on new steel plant in Uganda

Devki Steel has broken ground on a new USD 500 million steel plant in Uganda’s Tororo region. The facility, designed to produce 1 million tonnes of steel annually, is expected to reduce Uganda’s steel import dependence and position the country as a net exporter in the medium term.

Devki Steel broke ground on new steel plant in Uganda

Ugandan President Yoweri Museveni and Kenyan President William Ruto jointly launched the construction of the $500 million Devki Mega Steel Plant in Tororo, eastern Uganda. The investment, undertaken by Kenya’s Narendra Raval through Devki Group, has been described as a critical step toward “industrial liberation” in East Africa’s import-dependent steel sector.

It was stated that the integrated facility is designed to produce 1 million tonnes of steel annually, with the aim of meeting the region’s growing demand through domestic resources. Uganda currently imports nearly $840 million worth of steel each year, and officials noted that the project aims to position the country as a net exporter in the medium term. Considering Uganda’s significant iron ore reserves, the investment was said to rest on a strong economic rationale.

Devki Group announced that, once operational, the plant will employ approximately 15,000 people—90% of whom will be recruited locally. This commitment was highlighted as an indication that the project not only expands industrial capacity but also directly supports the regional workforce.

The groundbreaking ceremony was also viewed as a significant step for the East African Community (EAC), which has long sought deeper economic integration. With financing from Kenya, construction in Uganda, and production aimed at serving the wider region, the project was cited as a strong example of a shared industrial vision across East Africa.

It was noted that President Museveni’s continued restrictions on the export of unprocessed minerals reflect a long-term strategy focused on building industrial capability rather than pursuing short-term revenue. President Ruto’s support was interpreted as a sign of strengthening regional value-chain cooperation between Kenya and Uganda. This approach was said to echo the comparative-advantage-based industrial planning practiced during the East African Community era of the 1960s.

The Devki plant in Tororo was described as a new industrial milestone that reinforces East Africa’s ambition to become a more competitive manufacturing hub on the global stage.

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